OVERVIEW OF THE CITY’S UPDATED:

ASSET MANAGEMENT POLICY, STRATEGY & ROADMAP

PRESENTATION OUTLINE:

Project Intro

Why the City Needs an Updated Asset Management Policy, Strategy & Roadmap

How They were Developed

Overview of the Documents

IMPORTANT DEFINITIONS:

Sustainable service delivery is an approach to deliveringservices that ensures that services are provided to thecommunity today in a way that: is fiscally, environmentally, and socially responsible is adaptive to changing circumstances and future

conditions does not compromise the ability of future generations

to meet their own needs

IMPORTANT DEFINITIONS:

Asset management is an integrated and continuous process of making capital and operational decisions about assets that are informed by cost, risk, and service levels. Sustainable service delivery is the goal of asset management.

PROJECT OVERVIEWIn 2018, the City worked with Urban Systems Ltd. to:

Update the Asset Management Policy and Strategy to reflect progress made in recent years and to incorporate climate change adaptation and mitigation, and;

Develop a Roadmap to guide the implementation of improvements in asset management.

These documents are tools to help the City sustainably deliver infrastructure based services over the long term

“A five-year strategy and implementation plan to support the City in realizing its myPG 2040 vision to be a model for sustainable Canadian cities through strategic improvements in asset management processes and practices”

WHY THE CITY NEEDS AN AM POLICY, STRATEGY, AND ROADMAP

AGING INFRASTRUCTURE

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1927

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TBD

Rep

lace

men

t Val

ue in

$ M

illio

ns

Year Acquired

City of Prince GeorgeAsset Inventory Age Profile

Bridges Civic Facilities District Energy FleetParks & Trails Roads Sanitary Sewer Sidewalks & WalkwaysStorm Drainage Street Lights Water

COST OF INFRASTRUCTURE (in $ millions)

Roads, $1,118

Water, $428Sanitary Sewer, $475

Storm Drainage,

$210

Civic Facilities, $485

Sidewalks & Walkways, $74

Parks & Trails, $62

Bridges, $54 Fleet, $40District Energy, $20

Street Lights, $17

Roads

Water

Sanitary Sewer

Storm Drainage

Civic Facilities

Sidewalks & Walkways

Parks & Trails

Bridges

Fleet

District Energy

Street Lights

Total Replacement Value: $2.98 billion

Note: Current Replacement values are low. Replacement values will be updated after further investigation.

WHY THE CITY NEEDS AN AM POLICY, STRATEGY & ROADMAP

• Aging infrastructure

• High replacement costs

• Increasing demands for service

• Changing climate

• Providing services over the long-term

HOW WE DEVELOPED THE UPDATED AM POLICY, STRATEGY & ROADMAP

FUNDING

• The purpose was to update the City’s existing AM Policy and Strategy to incorporate climate change considerations, and to develop a Roadmap for implementation.

• The City received funding through its participation in FCM’s Climate and Asset Management Network (CAMN) to do this work.

WHO WAS INVOLVED• Project was led by the interdepartmental CAMN team,

• Retained Urban Systems to support,

• Engaged staff, Senior Leadership, and Council in the process.

Community ServicesIT Services

GISPlanning &

Development

Engineering & Public WorksRoads & Fleet

Parks & Solid WasteUtilities

EngineeringCivic Facilities

Asset Management

Senior Leadership Team

Mayor & Council

THE PROCESSSpring 2018

Conducted a maturity assessment to identify strengths, challenges, and opportunities for improvement

Summer 2018Updated existing AM Policy

Fall/Winter 2018Updated existing AM Strategy and developed a Roadmap for implementation

ASSET MANAGEMENT POLICY OVERVIEW

2019 AM POLICY IMPROVEMENTS1.Provides the Purpose, Principles, and Statements grouped into 8

clear ‘vision’ statements;

2.Includes wording to align with the City’s other corporate strategies, policies and plans;

3.More clarity on what the City’s approach to climate change looks like from an asset management perspective;

4.More clarity on what stakeholder consultation and engagement looks like;

5.And includes the importance of the City’s people resources.

POLICY PURPOSETo support sustainable service delivery by providing direction on how the City:

Effectively aligns corporate plans, strategies, and operations;

Makes informed and transparent decisions about asset management, including the long-term planning, financing, operation, maintenance, upgrade, renewal, replacement and disposal of capital infrastructure assets;

Builds resiliency to the impacts of climate change through decisions about asset management;

Continuously improves its asset management processes and practices;

Engages stakeholders in asset management.

POLICY STATEMENTS1. The City demonstrates organizational alignment

and commitment to sustainable service delivery.

2. Decisions about service delivery are prioritized in a clear, consistent, and transparent way based on trade-offs between level of service, lifecycle cost, and risk.

3. Appropriate information and tools are available, integrated, and used alongside professional judgement to inform decisions.

4. Sufficient financial resources are in place to enable sustainable service delivery and continuous improvement in asset management.

AssetManagementPolicy

POLICY STATEMENTS

AssetManagementPolicy

5. Sufficient human resources are in place to enable sustainable service delivery and continuous improvement in asset management.

6. The City’s approach to asset management builds the City’s resiliency to climate change and supports its climate change adaptation and mitigation goals.

7. The City continuously improves in sustainable service delivery, and measures, tracks, and communicates progress.

8. Stakeholders are appropriately engaged in decisions about sustainable service delivery.

POLICY USE

To be used by:

Administration – to guide how information is collected, used, and communicated to support decision-making

Council – to guide the allocation of resources and decisions regarding capital and operating budgets, and other decisions that involve City assets

AssetManagementPolicy

ASSET MANAGEMENT STRATEGY & ROADMAPOVERVIEW

STRATEGY

Describes:

Why AM is important;

Where we are – assets the City currently owns and its current maturity in AM practices;

Where we want to be – the City’s vision and goals for the future (from OCP and Policy);

How to get there – objectives and strategies to implement the Policy and improve in AM.

AssetManagementStrategy

AM POLICY OBJECTIVES & STRATEGIES

ROADMAP

Describes:

Actions the City will take to implement the improvements identified in the Strategy;

High-level impact and effort of these actions;

Priorities

Responsibilities

AssetManagementRoadmap

HOW THEY ALL FIT TOGETHER

STRATEGIC OUTLOOK

The City’s strategic outlook is overall positive.

Current funding levels are likely insufficient to achievefinancial sustainability over the long term.

The City is investing in improvements in assetmanagement processes and practices.

With further improvements, including increasedfunding levels, the City will move towards servicesustainability.

NEXT STEPS:

Policy approval by Council.

Set up AM Steering Committee with the SeniorLeadership Team to drive the AM improvements.

Determine current service levels with associatedcosts and resources required.

Develop risk frameworks to prioritize infrastructurespending.

Incorporate climate adaptation and mitigation goals into infrastructure decision making.

THANK YOU